S&P gives Western Express, loan B+

S&P said it assigned a B+ corporate credit rating to Western Express Inc. and assigned a B+ issue-level rating to the company's proposed $250 million senior secured term loan due 2024.

The 3 recovery rating indicates an expectation for meaningful recovery (50%-70%; rounded estimate: 55%) in the event of a payment default.

The outlook is stable.

“Our ratings on Western Express reflect the company's participation in the highly fragmented, competitive, cyclical and capital-intensive trucking industry,” the agency said in a news release.

“The ratings also reflect the company's narrow geographic focus as it predominantly operates in locations east of the Mississippi River, with selected service to the Western U.S. The company's above average profitability and balanced service offering only partially offset these weaknesses.”

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.